Each Monday, Stockhead recaps the ASX stocks that are running hot with investors.

The analysis is based on the Relative Strength Index (RSI), a technical gauge which measures how trading momentum is affecting the price action.

A reading of 70 is seen as the level at which a company may have been overbought. If a stock has a reading of 30 or below, it could be undervalued.

Click here for a more detailed rundown of what the RSI does and how it’s used.

While there’s usually a pretty good reason if a given stock is running hot (or cold), investors are also on the lookout for opportunities where the price action has separated from fundamentals.

Running Hot

Here’s a summary of the stocks that were running hot for the two weeks ended Friday, November 13:

Scroll or swipe to reveal table. Click headings to sort.

Code Company Price RSI MktCap$
ANX Anax Metals Ltd 0.048 89 $ 11,655,269.89
JHC Japara Healthcare Ltd 0.605 89 $ 146,986,030.40
EVZ EVZ Limited 0.15 89 $ 12,975,759.09
MEA McGrath Ltd 0.4 88 $ 66,739,974.00
WCG Webcentral Group Ltd 0.235 87 $ 25,647,536.04
AZS Azure Minerals 0.705 86 $ 157,425,201.05
RXP RXP Services Ltd 0.525 81 $ 90,022,076.56
GMA Genworth Mortgage 2.21 81 $ 903,406,062.96
SHK Stone Resources Aus 0.055 80 $ 43,474,792.82
MPR Mpower Group Limited 0.05 80 $ 7,942,320.80
RAC Race Oncology Ltd 1.42 80 $ 177,927,193.13
RMC Resimac Grp Ltd 1.85 80 $ 666,688,801.73
TMZ Thomson Res Ltd 0.125 79 $ 18,073,685.50
TLG Talga Resources 1.8 79 $ 459,980,588.83
CLT Cellnet Group 0.085 77 $ 9,958,879.81
POW Protean Energy Ltd 0.013 77 $ 3,579,693.12
TMT Technology Metals 0.45 77 $ 49,280,000.00
MOZ Mosaic Brands Ltd 0.88 77 $ 82,646,805.15
VUL Vulcan Energy 1.83 76 $ 124,566,381.42
IXU Ixup Limited 0.096 76 $ 53,015,548.12
VOL Victory Offices Ltd 0.395 75 $ 32,720,000.00
CNJ Conico Ltd 0.043 74 $ 27,615,732.38
LOV Lovisa Holdings Ltd 11.27 73 $ 1,077,820,249.38
HLO Helloworld Travl Ltd 2.24 73 $ 356,564,043.50
RHY Rhythm Biosciences 0.37 72 $ 84,628,240.62
IBX Imagion Biosys Ltd 0.1025 72 $ 89,348,661.23
CCR Credit Clear 0.825 72 $ 127,494,265.85
STG Straker Translations 1.5 71 $ 79,714,980.00
CT1 Constellation Tech 0.026 70 $ 33,937,692.25

A total of 29 stocks recorded a 14-day RSI measure of more than 70, up from 24 in the week prior.

Among the leaders was Japara Healthcare (ASX:JHC), which rose for six straight sessions capped off by a 21.82 per cent gain on Friday on no news.

The aged care operator was negatively disrupted by COVID-19, with shares in the company falling from around $1 in February to 35c in February.

In a trading update on October 30, the company said the second COVID-19 outbreak in Victoria — where it has 33 of its 50 homes — had a “noticeable impact on occupancy and operations during the first months of FY2021”.

Buy a November rally has seen JHC rise from around 40c to a Friday close of 67c.

Two other stocks running hot were Anax Metals (ASX:ANX), which rallied strongly following its re-listing on the ASX (from its previous iteration as Aurora Minerals) and engineering firm EVZ Ltd (ASX:EVZ), which bounced sharply following a strong trading update.

Running Cold

Here are the stocks that were running cold for the two weeks ended Friday, November 13:

Code Company Price RSI MktCap$
PCH Property Connect 0.0015 29 $ 1,028,795.21
ALK Alkane Resources Ltd 1.03 29 $ 610,273,520.00
GTE Great Western Exp. 0.2 23 $ 23,239,612.20
ECG Ecargo Hldg 0.015 15 $ 11,074,500.00
VAN Vango Mining Ltd 0.078 20 $ 75,513,049.30
AGS Alliance Resources 0.19 23 $ 32,094,014.40
AEI Aeris Environmental 0.4 26 $ 97,018,191.60
BCK Brockman Mining Ltd 0.022 28 $ 204,143,106.88
WJA Wameja Limited 0.115 28 $ 139,247,826.13
TGO Trimantium Growthops 0.032 24 $ 4,862,233.54
ATH Alterity Therap Ltd 0.026 24 $ 33,906,375.98
AQD Ausquest Limited 1.8 27 $ 12,191,988.26
GLV Global Oil & Gas 0.9 28 $ 6,209,433.02
ISD Isentia Group Ltd 0.12 29 $ 25,000,000.13
TGO Trimantium Growthops 0.032 24 $ 4,862,233.54
EOF Ecofibre Limited 1.62 28 $ 242,575,182.47
AEI Aeris Environmental 0.385 26 $ 97,018,191.60
MPH Mediland Pharm 0.089 16 $ 27,835,961.29